Daredevil, Gentrification, NIMBYs and the Neighborhood

NIMBY: "not in my backyard: used to express opposition by local citizens to the locating in their neighborhood of a civic project, as a jail, garbage dump, or drug rehabilitation center, that, though needed by the larger community, is considered unsightly, dangerous, or likely to lead to decreased property values."--Dictionary.com. 

Please note that the dictionary definition of NIMBY does not include people who resist the displacement of neighbors by luxury real estate development.


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Last year, Marvel's "Daredevil" leaped out of the small screen via Netflix to millions of viewers worldwide. The story of a blind New York native fighting to save his neighborhood, "Daredevil" was heralded as "TV's first gentrification-fighting superhero."

By day, the title figure is Matt Murdock, a young attorney. Murdock and his partner Foggy Nelson use their newly-formed practice to defend Hell's Kitchen residents of limited means who are being forced out of their homes by a big-time developer and his associates. Unlike billionaire superhero Bruce Wayne (Batman), Murdock operates frequently in the red (pun intended). He lives in a dingy warehouse walk-up flat. He and Foggy struggle to pay their bills and their assistant Karen's wages. Their clients are the poor, the down-on-their-luck, the marginalized.

Murdock is blind, but he can hear and smell exceptionally well.

Murdock's adversary is heavyweight real estate developer Wilson Fisk. A native of Hell's Kitchen, too, Fisk had a disadvantaged and dysfunctional childhood. His collaborators are heads of crime syndicates, bankers, and corrupt police and city officials. What he can't acquire through money, Fisk acquires through violence.

Unlike many superheroes, Daredevil frequently gets the crap beat out of him. One wonders how he can even walk the day after a fight--and sometimes, he can't. He's laid up for days recuperating from being battered, sliced and diced by criminals and those hired by uber-criminals  like Fisk. The human persona, Murdock, fights these same elements as a lawyer, and finds the violence spilling over into the daylight neighborhood as well.

Both Murdock and Fisk like to talk about "my city,"as if each feels he somehow owns it. Murdock doesn't like the old neighbors being replaced by affluent newcomers. He hates to see affordable, rent-controlled old apartment buildings replaced by luxury condos and lofts. He wants to save his city from the corrupting influence of big money and power. On the other hand, Fisk thinks he's doing "his city" a service by removing those who can't afford the fine dining, upscale living, and cultivated tastes of the upwardly mobile.

Fisk: Are you there? Can you hear me?
Daredevil: Who is this?
Fisk: I think you know. You've been asking about me. I thought it was time we spoke.
Daredevil: Say your name.
Fisk: You first. That's what I thought. You and I have a lot in common.
Daredevil: We're nothing alike.
Fisk: That's what you'll tell yourself.
Daredevil: You're feeding off this city like a cancer.
Fisk: I want to save this city, like you... only on a scale that matters.

Boom! There goes the neighborhood. Fisk blows up parts of Hell's Kitchen to seize it for development.

If Daredevil/Murdock lived in the Wedge, his attempts to stop the wrecking of old buildings and the building of thousands of high-rent units would be met with a cry of "NIMBY!" from local development supporters. NIMBY is a term accurately applied to hypocrites like the pro-fracking Exxon oil CEO who sued to stop fracking near his multi-million dollar home. NIMBYs want to stop half-way houses, Section 8 housing construction, thrift shops, but they aren't against luxury condos and trendy new apartments. The relentless cry of development boosters is a kind of NIMBY-Tourette's, the accusation hurled again and again at those who don't like the escalating wrecking and building of high-density high-rent units in the neighborhood. It's an egregious misuse of the term, designed to shut up complainants. And so far, that's what it's done.

Unlike NIMBYs, Wedge residents want more affordable housing for both renters and homeowners. But thanks to the City, the banks, the corporate media, and local developers, the Wedge is being crammed with high-priced units, units that are proving slow to fill up, with the more expensive places having the highest vacancy rates.

In a breathtaking display of hypocrisy, 10th Ward CM Lisa Bender and her supporters spout oral formulaic about "affordable housing" and "green living" while methodically destroying affordable housing and replacing it with unaffordable housing, raising rents and taxes--and sending thousands of tons of reusable buildings to the landfill. The City Planning Commission, City Council, CPED (Planning), and CM Bender have their chosen developers, Drew Levine and Danny Perkins (a.k.a. KLP Realty Holdings, D&D Realty Holdings, DDMZ REal Estate, Lotterman-Madan, 2817 Girard), whose projects are rubber-stamped without comment, no matter how far they stray from City zoning and other regulations. Yet CM Bender and her acolytes have the gall to call their detractors NIMBYs--which is the exact opposite of what those opposing her pet development projects are.

If you're going to call names, at least use an appropriate epithet, DIMBYs.

Case in point: 2008 Bryant Ave. S. The existing house was sold to KLP (Levin and Perkins) immediately after being listed, before any other interested parties could react. KLP quickly came up with plans for demolishing the house and replacing it with a four-story, ten-unit apartment box. The proposal--despite its requiring significant variances from the City zoning code--breezed easily through the first steps for approval by the City, through CPED and through the Planning Commission. No notices were sent to surrounding property owners, the City's new stealth policy about neighborhood development. Last Friday, March 28th,Wedge neighbors went to the Planning Commission hearing to see what would be said about KLP's 2008 Bryant proposal, #3 on the agenda.  They got there at 4:38 to find a note on the door advising them that items #1 and #3 had already been approved. When they went in, the commission members were discussing item #2.  The commission gave the reason that no one was there to testify, so why not just skip over #2, and approve #3 out of order? Right.

Daredevil looks down on the mean streets of Marvel's Hell's Kitchen

Wedge residents who are trying to stem the tide of luxury condos and high-rent apartments think of Minneapolis as "our city." We hate seeing a battalion of real estate speculators and developers bulldozing their way through our neighborhood. We hate it when many Wedge residents can no longer afford the rents or taxes on their homes. We hate it when our streetscapes are being littered with ticky-tacky architectural monstrosities. We hate it when our streets are becoming packed with vehicles. We hate it when Levin and Perkins acquire the homes of  resistant sellers by making offers that they can't refuse, premiums of tens of thousands of dollars that no other buyers can match. We don't want these things in our back yards for good reason.

But most of all, we hate it when we feel that the City is not listening to us, that citizens' voices are being methodically silenced in public discourse, that local government has gotten out of the control of City voters and into the control of moneyed interests. Sound familiar? This sense that government representatives on all levels are becoming increasingly disconnected from the people they allegedly represent is a loud complaint coming from both left and right wings in the current presidential campaigns. The ones that understandably don't want this situation to change are the ones who brought us to this sad pass in the first place--the political establishment. Both parties have a lot to answer for, but in Minneapolis, the one-party town, the party that needs to start listening to the electorate is the DFL. From where I sit, the only representative who is making an effort to listen to his constituents is Keith Ellison. For City officials, especially CM Bender, there's only self-righteous, self-serving political theater.

But--returning to Hell's Kitchen--don't kid yourself. The kind of gentrification we're seeing in the Wedge has been going on in New York neighborhoods for decades. The real Hell's Kitchen--not the Marvel one--has already been given over to the gentrifiers--the luxury developments, the upscale restaurants, the fitness centers. And that's what makes "Daredevil" so poignant, yet terrifying.

What is satisfying about the Netflix "Daredevil" narrative is that we can clearly identify who's fighting whom. Fisk is a larger-than-life figure, a powerful man who talks directly with those fighting him. He reminds the officials he's bought who's boss and what will happen to them if they don't perform. He does not hide behind a corporate veil. He doesn't play a real estate shell game using a dozen LLCs and multiple surrogates. He doesn't have private meetings with city officials to hide what he's really up to. Fisk stands up for what he believes in, no matter how twisted it may seem to others.

Fisk in his office. Prominently visible behind him is a copy of Robert Caro's 1974 biography of NYC urban planner Robert Moses.

Fisk may be a ruthless real estate developer, but his motives are pure. He loves Hell's Kitchen, his home since birth, and wants to improve it.  But the road to Hell is paved with good intentions--in his case, megalomaniacal good intentions. Venal Minneapolis city officials, armed with their corrupted version of current urban planning theory (a la Fisk and Robert Moses), have turned over the Wedge to rapacious developers. Who's going to stop them? Does anyone know Daredevil's phone number?

At the end of the second season, Daredevil is farther than ever from his goal of saving his neighborhood. He's nearly been killed, he's lost friends, he is battered and unsure of what to do next. But the satisfying thing about him is that though he may lose his way, he never doubts his goal of protecting his neighbors and neighborhood he loves from the ravages of greed and corruption.
 

                                      Whose city is it? Ours? Or the developers'?
 --T.B.

The City's Apartment Complex

Minneapolis has a serious obsessive-compulsive Apartment Complex.

As discussed in the previous post, the City of Minneapolis has been on a toot in remaking the Wedge a neighborhood of high-density, absentee-owned investment properties. Outside the Greenway, the City's favored developers are Drew Levin and Danny Perkins (a.k.a. KLP, Farkas Wagner,
D&D Reality Holdings, DDMZ Real Estate, Lotterman-Madan, 2817 Girard Avenue, Turkey Guys, Renovate to Rent). They have wrecked four older buildings and are about to wreck a fifth for new apartment buildings.
In early March, KLP reduced this house at 2424 Lyndale Avenue South:

to this (remaining leaded windows and all):

 to make way for a building looking something like this:

Even though the old house had been owned by a succession of notable people, including Ralph M Wheelock (Minneapolis Tribune political editorial writer, Secretary to Minnesota Governor Adolph Eberhart, and chairman of the state prison board), the wrecking permit sailed through City government. No historical review, no comment about scale, no notice to surrounding property owners. 

On the 2000 block of Bryant, another proposal by Levin and Perkins to wreck and redevelop also breezed through City Hall.  KLP's proposed 10-unit apartment building at 2008 Bryant was approved by Planning without comment, despite a number of departures from zoning regulations:trash containers allowed on the property line, only two on-site parking spaces, severe reduction of the green space and landscaping next to a driveway, a tight 6' turning radius in a driveway. Variances such as these have been rejected by City planners in other neighborhoods, but in the Wedge anything goes for developers. (See UPDATE at end of post..)

 Many sections of the Zoning Code say, "as determined by Zoning Administrator." If there is a question about compliance for a Wedge project, it is referred to the zoning administration manager for the neighborhood, Jason Wittenberg--and surprise! Jason Wittenberg determines that the project doesn't have to comply. Wittenberg gives projects an easy pass, no matter how far they depart from the zoning code, while in other neighborhoods, they would have been subjected to serious scrutiny and required to comply. How has it come about that in the Wedge development projects sail through City Council and Planning without comment? Let me count the ways: 1. CM Lisa Bender and 2. Jason Wittenberg.

At 2008 Bryant a single family house on a single lot is going to be replaced with a four-story ticky-tacky stucco-panel box covering the entire lot, with only two parking spaces, accessed by a driveway shared with the single-family house next door. To CM Bender and CPED (Planning), as represented by Jason Wittenberg, this box on steroids is appropriate infill development in the North Wedge--whereas in other neighborhoods such as Marcy-Holmes or Linden Hills, it wouldn't have stood a chance of being passed "as is."

Let's look at an even more flagrant departure from zoning compliance: the Graves hotel proposal for the Lake and Emerson intersection just south of the Greenway. Despite being far from complying with existing zoning, the hotel proposal was approved, per usual, with nary a second glance, by Jason Wittenberg. On March 3rd, came the second of the 1-2 developer punch. The City Zoning and Planning Committee, chaired by CM Bender, denied an appeal by a neighbor who challenged the City Planning Commission’s decision to grant the hotel developers a conditional use permit for height, as well as several variances. 

The Graves hotel proposal, as envisioned by the developer.

Ignoring the Small Area Plan for Uptown, zoning, and environmental concerns, the Z&P committee gave the go-ahead for a 6-story, 123-room hotel with no on-site parking on a block surrounded by two-story residences.  Even former Hennepin County Attorney Tom Johnson, who represented the neighbors at the hearing, could not persuade the Z&P committee from approving this Incredible Hulk development in Uptown. If it's in Uptown, if it's in the Wedge, the City wants to keep on biggering and biggering.

"Biggering" by Noot

A list of the donors from the real estate industry and real estate development sector to each Minneapolis City Council member in 2015 is informative. At the top of the list is none other than CM Lisa Bender (Ward 10) with 25 out of 36 contributors from those industries (69.4%)..Second highest percentage of contributors from real estate and development is Kevin Reich (Ward 1) with 10/21 (47.62%), followed by Andrew Johnson (Ward 12) 23/65 (35.38%) and Lisa Goodman (Ward 7) 12/34 (35.29%). Jacob Frey (Ward 3) is fifth, with 67/223 (30.03%).  Seven other council members (Gordon, B. Johnson, Yang, Warsame, Cano, Quincy, Palmisano) list under 20% of their donors from these sectors. (In her report Ward 8 CM Glidden said she took no itemizable donations.) 

A short list of developer-donors to CM Bender:
Dan Oberpriller: CPM Development ($220M development pipeline). Also a principal in Lake & Knox, LLC, which pumped groundwater into Lake Calhoun
Nick & Breana Walton: CPM Development; the other principal in Lake & Knox. (See Dan Oberpriller.)
Michael Lander: Demolished two houses for Motiv apartments on the 2300 block of Colfax.
Richard Pakonen: Per PAK Props website: "real estate investment and development focused on urban and in-fill properties"
Andrew Levin, Daniel Perkins: See above.
*For a compete list of numbers of real estate/developer donors to CMs by ward, click here. 
Perhaps even more interesting is this statistic: 17 of CM Bender's real estate/developer donors contributed to no other council member but Bender in 2015. These donors are putting all their dollars into one council member's basket, Ms. Bender's in the 10th Ward (Wedge, Uptown). Hmm.

CM Lisa Bender, promoter of high-density development in the Wedge, is fond of boasting about her support for affordable housing. The standard definition of "affordable" housing is that it take up no more than 30% of household income. According to MNCompass's most recent figures, the median income for Wedge households is $48k. That means that to be affordable for half of Wedge households, housing should cost no more than $1,200 a month. 35% of Wedge households have a household income of $35,000 or less. Affordable rent for them is $875 or less. How many units are available for family housing in the new Wedge apartment buildings at these rates? Zero.

Meanwhile, in Seattle,as in Minneapolis, the wrecking and gentrification continue.

The City government seems quite excited by the billions of dollars being invested in high-density real estate development in Minneapolis, the vast majority with "unaffordable" rents. The City aims to make way for 50,000 new residents, housing them in these new apartment complexes. In 2014-2015 around 9,000 new "market rate" housing units were added to Minneapolis. Over 20,000 more new units are in the works for the city.

Could there be too many "market rate" or above apartments being constructed in the city? Is this overbuilding going to wind up with some investors losing their shirts? The City Council and the City planning department (CPED), the banks, real estate investors and speculators don't seem to think so--or don't care.  If a development is planned for the Wedge or Uptown, the City is all for it. Anything goes. What, them worry about the billions of dollars in debt being accumulated by banks and investors in this current building boom?

Out of scale, unaffordable, noncompliant with zoning--the apartment building boom rolls through Uptown and the inner Wedge, enabled by CM Lisa Bender and Jason Wittenberg in particular and the City Council and CPED in general. Down with the old, up with the new. Round and round it goes. Where it stops, nobody knows. 
 

Les jeux sont faits.

UPDATE:

The Minneapolis City Planning Commission at its March 28^th meeting approved the Land Use Application, the Site Plan Review, and the process by which the CPC reached its decision.

Minneapolis Neighbors United has filed an appeal to be heard at the Zoning & Planning Committee Meeting,  Thursday, April 21^st. Rm 317 City Hall. 9:30 a.m.

Grounds for the appeal:

 Plans for garbage and recycling storage and removal and snow removal are inadequate.

No landscape buffer at the south lot line and the inclusion of a rooftop deck potentially violate the neighbors' right to quiet enjoyment.

 Incorrect information in the Site Plan Review re: the Uptown Small Area Plan, Historic Preservation, and the Minneapolis City and Metropolitan Council Comprehensive Plans.

 Incomplete Site Plan Review. Methods of Alternative Compliance not provided and relevant public comment not included.

--T.B,  

Let's Talk Turkeys

Let's talk turkey about Minneapolis real estate developers Drew Levin and Danny Perkins. Levin and Perkins acquired the nickname the "Turkey Guys"after their successful restaurant and catering business, Turkey to Go. They have gained national fame and adulation as the stars of the HGTV reality series, "Renovate to Rent."  They are major investment property owners in the city of Minneapolis.

Turkeys overrunning a neighborhood.

As developers, Levin (real estate broker) and Perkins (contractor) are on a steam-roll in the Wedge.Let's trot out some numbers: As mentioned in the previous post, Levin and Perkins, using several LLCs (KLP Realty, D&D Reality Holdings, DDMZ Real Estate, Lotterman-Madan, 2817 Girard Avenue, Farkas Wagner), have gobbled up 25 properties in the Wedge, with six of these already wrecked and a seventh slated for demo. Public records show that since their first purchases in the aftermath of the 2008 banking crisis, under the names of their various legal entities, they acquired over 80 properties in Minneapolis, taking out many millions of dollars in mortgages and loans. 

Levin and Perkins have taken out a total of $5,692,000 in loans for their Wedge properties. From public records, it's impossible to say how much of the debt has been paid off, how much is secondary financing, and how much of the bundled mortgages relate to Wedge properties. Steven Kalin is their most frequent lender, but they have also received substantial financial banking from these community banks: Merchants Bank, Anchor Bank, and Western Bank. They have also been bankrolled by regional Bremer Bank and Wells Fargo, a large national bank. Anchor Bank is their primary Wedge financial backer, lending them $2,651,500. (It would be interesting to find how much Anchor has loaned to individuals for home mortgages in the Wedge.)

KLP's (Levin and Perkins) first acquisition in the Wedge was 2613 Bryant Ave. S., purchased from Moneyapolis, LLC, for $215,000 in September 2008. This was the month that saw the collapse of Lehman Brothers, a sprawling global bank, a collapse which almost brought down the world’s financial system. The industry was saved by huge taxpayer-financed bailouts. But now chary of lending to individual home buyers, the "too-big-to-fail" banks have turned their corporate eyes to greener pastures, namely investment in real estate development.

2613 Bryant Avenue South

1.2 million people lost their homes through foreclosure during the 2008-2009 banking crisis. Investors quickly jumped on the opportunity to leverage a fortune out of the misfortune of others by buying up these properties  As indeed they brag on the HGTV website, starting in 2008, Levin and Perkins went out in search of foreclosed properties. A big bank is listed as the owner of four of the properties they bought in the Wedge: 2113 Bryant (Wells Fargo), 2612 Colfax (Capitol One), 2621 Colfax (US Bank), and 2814 Colfax (Bank of America). For another five properties the seller is listed as an LLC (Moneyapolis, Simple Living, Properties Ideal, Shree Investments, and TDL Properties).

In addition to their 25 Wedge properties, Levin and Perkins currently own 58 investment properties in Minneapolis, for a total of 83.  The owners of their current holdings are listed as one or more of the LLCs listed above, most commonly KLP.  On property purchases city-wide, 16 were from big banks; 8 purchases were from Fannie Mae, and 16 were from other LLCs. In some cases, one of their LLCs sold the building to another of their LLCs. And so these properties are transferred from one faceless entity to another, with a bewildering number of mortgages and other loans from banks, LLCs, and individuals.

No clear profile emerges of KLP when you look at public information associated with their properties: the addresses, buyers, sellers, loan amounts, and lenders. The list is filled with LLCs. Some properties have a series of five mortgages associated with them. Entities buy and sell the properties, passing them around, appearing at one address as a buyer, another as a seller. This befogged tangle of names and numbers is impossible to penetrate. 

The enormous number of properties that changed hands during the 2008-2009 financial crisis has created a nightmare for title companies that continues to this day. When a property is sold, title companies often have to sort through a list of owners, loans and liens, to determine if the property can be sold with clear title. This title mess creates more obfuscation of who's buying, who's selling, and who's financing a given property. It contributes to the confusing blizzard of data found in public records related to investment real estate. 

Graphic courtesy History of Economics Playground: Capitalism

In the 1960s much of the Wedge was absentee-owned. The 1963 upzoning brought dramatic changes. On just about every block, houses were wrecked for walkup apartment buildings. Absentee-owned houses became crash pads. One evening, an old couple, watching from the house they had occupied for 50 years, counted 400 revelers pouring in and out of the house next door. A drugged-up young man sprayed his neighbor's house with automatic weapon fire. A guy on LSD leaped from his apartment into the second-story window where a child was sleeping next door. Tenants rode motorcycles up the staircases of houses.

Thankfully, those awful days are long gone. Run-down houses were bought by homeowners who rehabbed or restored them. Condemned apartment buildings were made into Section 8 (low income) housing. Homeowners and renters banded together to stop crime, monitor absentee properties, and generally improve the quality of life in the neighborhood.  The Wedge was eclectic, funky, economically diverse, with affordable rents in a wide range of building types. Some have called this process of cleanup and rehab "gentrification", and in some ways, it was. However, it was nothing compared to the process of upscaling and gentrification under way right now.

A one-bedroom apartment in this older building on 26th and Bryant rents for $695.

Today the Wedge is being transformed into a high-density, absentee-owned area. Each home turned into investment property raises the number of renters. The most recent figures available show that 800 of the 3900 housing units in the Wedge were owner-occupied in 2013. Since then, scores of units have been added and are still being added on the Greenway, and now, with Michael Lander's and KLP's new apartment projects within the neighborhood, even more rental units will be available to rent. Obviously, the proportion of owner-occupied units to renter-occupied units is getting smaller and smaller.

These new apartments are "market rate" (what the market will bear), not by any stretch of the imagination "affordable." As more new apartments come on line city-wide, rents have increased by an average of 4.8 percent to $1,098 per month in 2015. Compare this average figure to rents in new Wedge apartments, for example, $1,795-$2,745 a month for a two-bedroom (877-1161 sq. ft.) in Flux Apartments on the Greenway, or $1,745 monthly for a two-bedroom unit (683 sq.ft.) in Motiv Apartments on 24th and Colfax. Thanks to these new apartments, in the Wedge the percentage of rent increase is likely higher than the city average.

One-bedroom apartments in this new Wedge apartment building rent for between $1539 and $2445 monthly

The duplexes next to my house and across the street were owner-occupied for decades. No longer. Turning family homes into rentals and new infill development raises rents and the value of the property as land (i.e., building sites), but lowers the value and attractiveness of older houses nearby. I've heard comments from two owners who sold their beautifully restored single-family houses and moved out of the Wedge that they saw "the handwriting on the wall." Not wanting to deal with increased congestion, construction chaos, and more absentee-owned buildings on the street, they felt they were gettin' out while the gettin' was good.

Increasing absentee-owned rental units in a neighborhood undermines a sense of community. Many renters are just passing through. The 2013 figures show that in that year, 35% of Wedge residents had lived there less than one year. It's hard to build relationships with your neighbors when they change so frequently. Knowing your neighbors is the key to community pride, including crime prevention and a sense of civic investment.

To return to where we started: It's very difficult to parse what all the figures and data about KLP's real estate investments mean. Just looking at all the loans, the addresses, the numerous banks, LLCs and private financial backers for KLP is enough to give anyone a migraine. It's a murky swamp of data that's impossible to see into. Economics is not an exact science, and there are many conflicting points of view. And certainly, one hesitates to accept the word of City officials who clearly are supporting their agenda. If residents protest, they are tarred with the NIMBY brush. The attitude of the City is: "This is going into your back yard, whatever argument you make. Whatever you say, we won't listen. If you don't like it, leave."

So, what can we see beyond the smoke and mirrors, political rhetoric and bureaucratic gobbledygook? One thing is as clear as the handwriting those fleeing the neighborhood saw on the proverbial wall: The Wedge has been targeted as a haven for investors, a place where owner-occupants are a rapidly dwindling demographic. Whether or not this is seen a good thing depends on whether you are an investor or resident, I suppose. It remains to be seen if these changes will make the interior of the Wedge more or less attractive to prospective tenants as well. From what I hear from my renter neighbors, they find the old, funky Wedge a great place to live.

On 28th Street, old and new buildings of compatible scale and design.

Around the corner, KLP's "sore thumb" infill (center) of incompatible scale and design.

One day, sooner or later, this latest apartment building boom will cease. By the time that happens, will the Wedge still be the Wedge or will it be just another nondescript absentee-owned real estate investment farm?

What is that thing blocking out the sun? It's the latest infill multi-unit apartment building! It's HUGE!

 --T.B.

Don't Mess Around with the Demolition Men

1963-1975: 100+ Wedge houses wrecked for apartment buildings.
1975-2015: 0 Wedge houses wrecked for apartment buildings.
February 2015-February 2016: Wedge houses wrecked for apartment buildings:

2320 Colfax
2316 Colfax
2808 Colfax
2743 Dupont
2809 Girard
2815 Girard
2821 Girard
2424 Lyndale
*2008 Bryant 
*slated for demo soon

Michael Lander and At Home Apartments brought the first two down for what is now Motiv Apartments. But all the rest are the work of Drew Levin and Danny Perkins of KLP Realty (a.k.a. D&D Reality Holdings, DDMZ Real Estate, Lotterman-Madan, 2817 Girard Avenue, Farkas Wagner).

Along with their financial partner, Steven Kalin, Levin and Perkins own dozens of properties in Minneapolis, including 26 in the Wedge:
         1008 W. 26th Street
         2344 Aldrich Ave. S.
         2008, 2113, 2612 Bryant
         2612, 2621, 2808, 2814 Colfax
         2521, 2557, 2612, 2644, 2701, 2725, 2743 Dupont
         2812 Fremont
         2700, 2709, 2715, 2809, 2815, 2821, 2828, 2832 Girard
         2424 Lyndale

Do their names sound familiar? That may be because Drew Levin and Danny Perkins are the stars of HGTV's "Renovate to Rent" series, described on the network website this way: "Real estate agent Drew Levin and his partner, contractor Danny Perkins, have been friends since college and now run a successful renovation business together.  They strategically buy old or foreclosed homes in desirable locations, but rather than flipping them for a quick profit, they Renovate to Rent.  Using specific design plans, they transform these homes to attract top rental dollar.  Even though they’re young, they already own and manage over 70 homes, and the number just keeps growing."

But instead of flipping seven of these "for a quick profit," they are demolishing them and building apartment buildings for even bigger profits.

Last year, KLP wrecked this 1880s duplex at 2743 Dupont:

And replaced it with this four-story thing that towers over its neighbors:

Then they wrecked this bungalow on 2800 block of Girard and the two houses to its north for an apartment building now under construction:

2821 Girard Ave. S. before demo by KLP

The living room of 2821

The new DUMP, er, KLP apartment building on 2800 block of Girard

                                                             Bette Davis comments.
The next wrecking is planned for 2424 Lyndale Ave. S. The replacement appears to be a clone of the 2743 monstrosity.

 2424 Lyndale before demo

UPDATE: 2424 Lyndale being wrecked, March 7, 2016

KLP's most recent project, their second Wedge apartment building, is slated to replace the house at 2008 Bryant Ave. S.  Plans for the new building show a  four-story stucco box containing 10 units with small, cramped rooms, covering most of the lot. Despite the fact that the building will house at least 10 tenants and as many as 20, plans call for only two parking spaces. That's because the orthodoxy of Minneapolis City Planning insists that everyone should be walking, biking, or taking mass transportation, not driving. If you are a tenant with a car, you'll just have to join the melee for spaces out on the streets of the Wedge.
 

Bummer: Your car is wedged in so tight, you can't get your bike onto your car's bike carrier. At 4 p.m. today I walked the 2800 blocks of Fremont and Girard. There was not one open parking space on these blocks.

KLP's demolitions and replacements with new higher-density apartment buildings have been done with the approval of the City of Minneapolis, notably of 10th Ward Council Member Lisa Bender. Again, planning orthodoxy demands that the City provide medium- and high-density housing for the 50,000 new residents it hopes to attract. But for some reason, this high density housing winds up being built in the Wedge by demolishing and rebuilding, rather than on the North Side, where scores of lots remain vacant. And the new Wedge apartment units are far from affordable; instead, the new ones replace ones that did have modest rents.


When will the wrecking end in the Minneapolis? It's hard to say. Perhaps when this fantasy-driven high-density building craze ends in a crash, perhaps when the area zoned for higher density is filled.  What area is this?  Take a look at this zoning map. Any building outside the pale yellow area is potentially in danger. The areas most in danger are the Wedge apex north of 26th Street and the area just north of the Greenway.

Endangered: the remaining houses on the 2700 and 2800 blocks of Girard and other blocks around 28th Street.

For decades the neighborhood association repeatedly petitioned the City to downzone the area north of 26th. It hasn't happened yet, and given the current political climate, certainly won't in the near future. The City wants more young affluent suburbanites and well-to-do retirees and fewer of the motley assortment of renters of modest means.

This afternoon the City Council sent a clear signal to neighborhoods in approving the Graves hotel at Emerson and Lake in Uptown: Whatever developers want, they get. The City has scrapped the Small Area Plan, zoning, and environmental concerns in favor of a development which, at six-stories, is way out of scale with the surrounding houses. It will certainly lower the property values and attractiveness of the houses around it, but who cares? Density is all.

The rising sun illuminates the six-story hotel coming to Emerson and Lake. No traffic, no traffic lights, no nearby buildings, no trash. Just an empty horizon full of promise.

What's your vision for the Wedge and other Minneapolis neighborhoods? If the City and KLP get their way, we'll see more big, chintzy boxes out of scale with the neighborhood and fewer of the old houses that have been the trademark of the Wedge and other Uptown neighborhoods for decades.

        "Tied to the tracks and the train's fast coming
          Strapped to the wing with the engine running
          You say that this wasn't in your plan
          And don't mess around with the demolition man
          Tied to a chair, and the bomb is ticking
          This situation was not of your picking
          You say that this wasn't in your plan
          And don't mess around with the demolition man."
                  --from "Demolition Man" by Sting 1993

First to go down: 2320 Colfax, the Orth House

--T.B.